Thank you for standing by, and welcome to the Domain Holdings Australia Full Year Results Conference Call. All participants are in a listen-only mode. There will be a presentation followed by a question and answer session. If you wish to ask a question, you will need to press the star key followed by the number one on your telephone keypad. I would now like to turn the conference over to Mr. Jason Pellegrino, Managing Director. Please go ahead. Good morning, and thank you for joining CFO Rob Doyle and me for Domain's 2022 full year results briefing. I'd like to start off today by acknowledging the traditional custodians of country throughout Australia and their connections to land, sea, and community. We pay our respects to their elders, past and present, and extend that respect to all First Nations peoples today. For myself, I'm on the land of the Gadigal people of the Eora Nation. We'll follow our usual agenda today. I'll begin with an overview of the results and the pleasing momentum the business is delivering in executing on our marketplace strategy. I'll provide some commentary on the current trading environment and the FY 2023 outlook. Finally, Rob will provide an overview of group financials. We look forward to questions at the end of our prepared remarks. Over the past four years, the business has operated with a backdrop of considerable trading volatility. Through it all, our team has remained laser-focused on the elements of our business that we can control. This mindset has positioned Domain to leverage the property market strength while providing downside protection when the cycle has been less supportive. The creativity and hard work of our team are building Domain into a fundamentally stronger business, and this is reflected in the outstanding set of results we are delivering today. Domain's FY 2022 trading results on a reported basis are significantly impacted by the timing of the JobKeeper grant and repayment, and the benefits and costs of Zipline, our voluntary employee program undertaking during the early stages of the COVID-19 pandemic. In FY 2021, we received a net AUD 6.5 million EBITDA benefit from JobKeeper and Zipline. In FY 2022, this reversed to an additional expense of AUD 8 million. Rob will run through this detail later in the presentation. We have provided two summary tables of the FY 2022 results in order to provide transparency on the underlying performance of the business. The trading as reported table includes the expenses of JobKeeper and Zipline in FY 2022 and the benefits received in the prior year. The ongoing results table excludes the impact of JobKeeper and Zipline from both periods. For FY 2022, Domain delivered revenue of AUD 356.7 million, up 23%. Trading expenses of AUD 234.6 million, up 24%, and ongoing expenses of AUD 226.7 million, up 16%. Excluding the impact from the Realbase acquisition, ongoing expenses of AUD 221.2 million increased 13%, in line with the guidance for an increase in the low teens range. Trading EBITDA of AUD 122.1 million, up 21%, and ongoing EBITDA of AUD 130.1 million, up 38%. Trading EBIT of AUD 91.9 million, up 42%. Net profit was AUD 55.3 million, up 46%, and earnings per share with AUD 0.093, up 43%. A dividend of AUD 0.04 was declared, bringing the total 12-month dividend to AUD 0.06, an increase of 50% year-on-year. Slide six outlines the segment results on a trading basis. I'll turn to the ongoing results on the following slide in order to illustrate the underlying performance of the business. Domain's 23% revenue increase was supported by growth across all businesses. Residential increased 23%, media developers and commercial increased 7%. Agent Solutions increased 67%, with benefits from the Realbase acquisition undertaken in April 2022. Property Data Solutions increased 35%, including the contribution of the IDS acquisition from October 2021. Together, these businesses delivered core digital revenue growth of 23% and ongoing EBITDA growth of 31%. Consumer Solutions revenue increased 69% and ongoing EBITDA losses reduced by 38%, leveraging the benefits of increased scale. Total digital revenues increased to 24% and ongoing EBITDA increased 35%. Print revenue increased 22% as we resumed a full printing schedule with a doubling of ongoing EBITDA. Pleasingly, we delivered margin expansion across every segment with the ongoing core digital margin of 49% a standout. Domain's purpose to inspire confidence in life's property decisions underpins the creation of our property marketplace. Our goal is to support customers and consumers by continually increasing the value we provide at more points of their property journeys. We are expanding the addressable markets available to us with new drivers from Realbase and IDS acquisitions. Domain Solutions are driving impressive better together results across our property marketplace. In our core listings business, we achieved a 14% increase in controllable residential yield and depth penetration reached new heights. We signed a record number of new and upsell depth contracts. The Q4 increase of 70% in new contracts provides a particularly encouraging start to FY 2023. Core digital delivered a 31% EBITDA increase on an ongoing basis. In Agent Solutions, we acquired Realbase to scale the business and address new markets. We delivered revenue growth of 70% at Real Time Agent, and Pricefinder delivered 12% subscriber growth with the best net additions in seven years. In Consumer Solutions, our new management team delivered underlying revenue growth of 69%, underpinned by the strong performance of Domain Home Loans. The 31% reduction in operating losses demonstrates the strong unit economics of the business as we increase volumes. The increasing efficiency of the business is reflected in the 35% higher conversion to approvals achieved in the past two years. In Property Data Solutions, the acquisition of IDS significantly expands the size of our addressable markets, and we're seeing momentum in new client wins in the financial institution and government sectors. During the year, we undertook significant investment in data to build a single view of property to create Australia's best quality property data asset. We continue to expand LeadScope with an impressive increase in the number of active users. Before we turn to the detail of our results, I will touch briefly on Domain's ongoing commitment to our ESG initiatives. We made significant progress in FY 2022, supported by the grassroots passion of our people and the allocation of additional resources. We want to use our platform for good, contribute to the communities we serve, and make Domain a home for everyone. I'd like to specifically call out the launch of our Reconciliation Action Plan in partnership with Reconciliation Australia. This initiative includes the commissioning of a beautiful artwork you see on this slide by artist David Williams. The title, With open hearts and minds, together we grow, captures so many of our core values at Domain. Turning now to the detail of the results and the key drivers of Domain's revenue. Residential revenue increased 23% to AUD 239.2 million, supported by outstanding Domain revenue growth of 26%. Domain growth was supported by a 9% uplift in new for sale listings and a controllable yield increase of 14%, driven by both price and Domain penetration. The considerable volatility in new for sale listings that we have successfully navigated over the past four years is illustrated in the chart on the left-hand side of this slide. Q2 of FY 2022 delivered the strongest growth of the year as the market recovered from widespread Q1 lockdowns. The performance in Q4 is particularly impressive given the exceptionally high base of comparison from the prior year. In light of the tough Q4 comparison, the second-half uplift in controllable yield of 11% was a pleasing outcome and testament to the success of our micro market strategy. This strategy customizes our approach to price and depth across individual zones to maximize our growth and controllable yield. Across our broad buckets of established, expanding, and emerging markets, we saw solid volume growth and delivered a strong performance in revenue per listing as we pulled the appropriate levers of price and depth. As I mentioned earlier, we delivered record growth in new and upgrade depth contracts. Our price increases implemented in July are targeted to drive higher levels of depth penetration and were implemented with a record number of new Q4 depth contracts, which increased 70% year-on-year. The introduction of Social Boost All contracts was successful in capturing additional vendor-paid advertising opportunities in highly penetrated markets. For the year ahead, we'll be looking to leverage the strong Q4 depth contract performance, and we'll be prioritizing key markets with the greatest revenue opportunities. During FY 2022, overall depth penetration and platinum penetration continued to grow strongly in every state, despite the continued COVID disruptions during the first half. While New South Wales depth performance is particularly impressive, it's pleasing to see the progress in Victoria and Queensland, where we continue to see significant opportunity. South Australia and WA are delivering substantial gains in gold and silver tiers, highlighting the benefit of taking a customized approach to individual markets based on their specific characteristics. Domain delivers the quality audience metrics that matter. We deliver audiences of scale with a peak FY 2022 unique audience of 8.4 million and record monthly average app launches of 16.7 million. We deliver quality and high intent audiences which are more likely than the national average and those of our competitor to have purchased property in the past 12 months or plan to buy in the next 12 months. We deliver increased marketing efficiency, and since FY 2019, we've reduced cost per inquiry by 52% and lifted conversion of views to inquiries by 35%. We deliver higher value to agents and since FY 2019 have increased inquiries per listing 93% and monthly active app users by 64%. Our product teams are committed to delivering great user experiences at every stage of the property journey for agents and consumers. Calling out just one, enhancements to Social Boost continued through the year, delivering meaningful financial results for the residential business. The product helps agents increase the visibility of their listings and delivers a high ROI due to its focus on highly engaged social media audiences. Turning to media developers and commercial, revenue increased 7% with stronger H1 growth across all three verticals. Commercial real estate was the best performing business, delivering solid revenue growth for the year and benefiting from its flexible value-based pricing model. The business delivered record levels of depth penetration across every state in both sale and lease, which offset a weaker listings environment. Developers also delivered a solid depth performance in a challenging market for multi-story developments. Weakness in ACT reflected the COVID-related H1 shutdowns. Media continued to leverage quality audiences and content, although an elevated base of comparison from the prior year constrained H2 growth rates. Some of the enhancements to our CRE and developer user experience are highlighted on this slide. We continue to build our commercial partnerships with Nine, with the launch of a dedicated special feature section on the CRE website to support the Financial Review lift-outs during marketing campaigns. In Agent Solutions, revenue increased 67%, including the contribution from Realbase from May. On an underlying basis, revenue increased 17%. During FY 2022, Pricefinder delivered a 12% year-on-year growth in subscribers and its largest net addition in seven years, supported by an enhanced sales effort and lower churn. RTA's growth momentum continued with a 70% year-on-year revenue growth based on momentum in new customer acquisitions, increased geographic footprint, and expanded product uptake by existing customers. At Homepass, we made product enhancements to provide a more personalized consumer experience. Our acquisition of Realbase contributed from May 2022, and we're really excited by the opportunity to strengthen our end-to-end agent workflow solutions. Realbase's high growth offerings, Engage and AIM, are delivering significant momentum in pre-list and proposal products and social and digital media marketing. Realbase has a strong market position with around 40% of properties sold in ANZ marketing on its platform. We're working to expand that footprint by integrating with the broader Agent Solutions business. Our near-term plans include building cross-selling opportunities for our sales teams and integrating Realbase products into the Agent Solutions workflow to enhance agent efficiency. We also see the opportunity to integrate our data assets to drive innovation and better performance for our customers. Our product teams continue to support the agent journey with ever-expanding tools to help grow their businesses. I'll make special mention of LeadScope, which continued to expand, leveraging significant progress in Keystone functionality and delivering a 390% uplift in active users. LeadScope's success to date is contributing to Domain's depth revenue growth, and we look forward to a full commercial launch later this year. Domain's agent platform continues to expand in scale and scope, with the addition of Realbase's businesses to fill key gaps in the end-to-end agent workflow. Our open platform is making significant strides with our technology partners expanding by 37% in FY 2022. We see great value in providing agents with the opportunity to operate as they choose. Property data solutions revenue increased by 35%, with solid underlying growth of 13% from Pricefinder and APM, and the contribution of Insight Data Solutions following the completion of our acquisition in mid-October. Pricefinder non-agent performance accelerated into H2, benefiting from the sales team relaunch and refocus, and large enterprise account wins. APM delivered stable valuations contribution and strong growth in revenue from its expanding API customer base. IDS is demonstrating strong progress in both the financial institutions and government sectors. The business achieved a new contract with NAB so that the Domain Group now services all four of the major banks and has been selected as a preferred supplier to the number five bank. In the government sector, IDS is close to securing the next Valuer-General whole-of-state contract, and the New South Wales government tender is underway sooner than expected. During FY 2022, we have been investing to create Domain's single view of property and established our property data solutions unit as a center of excellence that can be leveraged across the group. We are building Australia's best quality property data asset by combining all of Domain's market-leading and proprietary data sources. We are investing to integrate our many independent and separate databases into a single property graph, which will ingest all these sources to deliver unmatched breadth and accuracy. Consumer Solutions revenue increased 69% with strong momentum at Domain Home Loans. Going forward, we have decided to step away from Domain Insure and other ventures to focus on the significant runway we see ahead for Domain Home Loans. Domain Home Loans' award-winning service, differentiated marketplace solutions, and refreshed leadership team are driving a step change in performance. FY 2022 delivered improving conversion metrics and strong settlement growth, up 69% year-over-year. Consumer Solutions operating losses reduced 31% year-over-year, reflecting the benefits of increased revenue scale and operating efficiencies. Our marketplace model creates an important acquisition funnel for Domain Home Loans, and we are leveraging Domain's home price guide with features such as property reports, a redesigned Domain for owners, and other integration opportunities to drive growth. Print revenues increased 22% year-on-year, with the recovery concentrated in the first half, reflecting the timing of the COVID-19 related lockdowns in the prior year. Print delivered an ongoing EBITDA contribution of AUD 5.8 million, which more than doubled year-on-year, underpinned by the revenue recovery and ongoing careful management of costs. Domain's magazines continue to experience support from agents and vendors in the high value premium markets where print remains sustainable. Before I turn to the specifics of the current trading environment and outlook, I want to provide an overview of how we are thinking about the future at Domain. Over the past four years, we have maintained our strategic focus despite the backdrop of property market volatility that we have navigated successfully. We've spoken before about the strategic journey Domain has been on to transition from a classifieds business with a significant exposure to challenged revenue streams, to a marketplace that inspires confidence for life's property decisions. The success of our marketplace transformations to date underpins our aspirations to play a much bigger role in the property ecosystem. This success provides us with the confidence that now is the time to meaningfully invest in a small number of scalable technology platforms that will deliver the experience our customers deserve across all elements of our marketplace. We're confident this targeted investment will accelerate growth across both our core listings and other marketplace solutions. With that context, I'll now turn to the trading update. Trading in the first six weeks of FY 2023 reflects ongoing growth in new for sale listings and a return to normal seasonal trading patterns. Domain continues to deliver expansion in depth penetration following record depth contract signups in FY 2022, with particularly strong momentum in Q4. The results of Domain's transformation to date underpin our confidence to continue to pursue our marketplace strategy while retaining our disciplined investment approach. FY 2023 costs, excluding the impact of acquisitions, are expected to increase in the low double-digit range from the FY 2022 ongoing expense base of AUD 226.7 million. This includes higher baseline expenses in the mid to high single digit range, together with meaningful investments in a small number of targeted initiatives which will accelerate our marketplace aspirations. In addition, FY 2023 will see the full year expense impact of the FY 2022 acquisitions of IDS and Realbase, which are expected to add approximately AUD 27 million to the ongoing operating expenses, with associated incremental revenue contribution. While we remain committed to longer term margin expansion, as a result of our FY 2023 targeted investment initiatives, we anticipate FY 2023 EBITDA margins will remain stable on an ongoing cost basis, while expanding on a reported basis. I'll now hand over to Rob to run through the financials. Thanks, Jason, and thanks everyone for joining the call today. Slide 38 provides a reconciliation of the statutory Appendix 4E to Domain's trading performance, excluding significant items and disposals. I'll run through the significant items later in the presentation. Starting at the items below the EBITDA line, depreciation and amortization expense of AUD 30.2 million decreased from AUD 36 million in FY 2021. For FY 2023, we expect depreciation and amortization to increase slightly. Net finance cost of AUD 5.5 million was slightly below last year, reflecting the refinance of our debt facilities in December 2021. We expect similar net finance costs in FY 2023. Tax expense of AUD 26.5 million is an effective tax rate of 30.7%, and we expect a similar rate in FY 2023. Net profit attributable to Non-Controlling Interests, or NCI, of AUD 4.5 million reflects the share of profits or loss attributable to the agent ownership models and other consolidated non-wholly owned entities. NCI increased from FY 2021 due to lower losses at Consumer Solutions and the improved performance of Print. Further details contained in Appendix 1. Slide 39 provides the reconciliation of statutory to trading performance for FY 2021. Slide 40 provides the detail of Domain's cost structure and a reconciliation of statutory to trading expenses and ongoing expenses. Trading expenses, which exclude significant items and disposals, increased 24.1% to AUD 234.6 million. As Jason mentioned earlier, in FY 2021, we received a net AUD 6.5 million EBITDA benefit from JobKeeper and Zipline. While in FY 2022, this reversed to an additional expense of AUD 8 million. The more relevant measure is therefore ongoing expenses, which increased 15.9% year-on-year. Excluding the Realbase acquisition, costs increased 13.2% in line with our low teens percentage growth guidance. Ongoing staff costs increased 20% due to higher share-based payments and incentives arising from improved business performance, increased headcount, and pay increases. Production and distribution costs increased 20%, reflecting the strong bounce back in digital revenue and the full resumption of printing. Promotion costs reduced 4% year-on-year due to continued efficiencies from our targeted marketing strategy. As Jason noted earlier, cost per inquiry has reduced by over 50% over the past three years. Software and communications expenses grew 12% from last year. Other costs increased 32%, largely as a result of higher market-wide increases in D&O insurance costs, higher contracting and recruitment costs, and some increases in discretionary spend as business activity returned to more normal levels post-COVID. Slide 41 provides an overview of significant items which amounted to an AUD 20.2 million expense net of tax. Restructuring and redundancy costs of AUD 8.2 million, largely related to the implementation of new finance and billing systems. A loss on lease modification of AUD 2.4 million resulted from the renegotiation of lease agreements for our Sydney office. M&A transaction costs of AUD 5.5 million related to the acquisition of IDS and Realbase during the year. The contingent consideration payable of AUD 8 million mostly relates to an increase in contingent consideration payable for the Insight Data Solutions acquisition. An accounting gain of AUD 0.7 million resulted from the debt refinancing in November. Finally, an income tax benefit of AUD 3.2 million was recorded on significant items. Turning to cash flow on slide 42. FY 2022 cash from trading was AUD 96.4 million, up from AUD 86.2 million last year. The cash tax payment of AUD 22.8 million reduced versus the prior year due to the timing of income tax installments. Investment in PPE and software of AUD 20.9 million increased by AUD 3.2 million, and included enhancements to the Sydney office fit-out to support flexible working following the lease renegotiation and reduction in office space. Net investment in businesses of AUD 227.2 million related to the acquisitions of IDS and Realbase, deferred consideration for the RTA acquisition and deferred receipts from the disposal of MyDesktop. Dividends paid of AUD 39.3 million increased substantially versus the prior period, reflecting the resumption of dividends post-COVID. The cash inflow from share issuance of AUD 158.2 million related to the capital raising to fund Realbase, share issuance associated with Zipline and long-term executive incentive schemes. Domain finished the year with a cash balance of AUD 67.1 million. Slide 43 provides an overview of Domain's debt facilities. In December 2021, we increased our bank facility by AUD 130 million to AUD 355 million. As of June 2022, the facility was drawn down to AUD 220 million. Slide 44 shows the balance sheet of Domain Group as at June 2022. Domain has a strong balance sheet, ending the year with net debt of AUD 151.5 million, an increase from AUD 79 million at June 2021. This represents a leverage ratio of 1.2 times. With that, I'll hand back to the operator for Q&A. Be announced. If you wish to cancel your request, please press star two. If you're on a speakerphone, please pick up the handset to ask your question. Your first question comes from Eric Choi with Barrenjoey. Please go ahead. Morning, team. This is gonna be more math heavy even than usual. Sorry, Rob. First one, can I just clarify when you say flat ongoing margins in FY 2023, you're referencing the 36.5% in FY 2022, but maybe with a bit of dramatic license, stable could mean plus or minus 1 percentage point? That's the first. Yeah. Thanks, Eric. Yeah, that's right. I mean, we were obviously very deliberate with the use of our wording there. You know, we didn't say flat, we said stable. In that kind of something with a 36% in front of it is about right. It wouldn't be a 1%-2% swing. Nothing as significant as that. You know, stable was clearly the deliberate choice of wording. Yeah, basing off around about 36% is about right. Very noted. Clearly, you know, we're making some, you know, very deliberate investments as Jason spoke to in his commentary. Notwithstanding that, clearly the ongoing margin is expanding and we're making a deliberate decision to, you know, reinvest some of that in the future growth of the business. But there's also a bit of a dilutive impact from the gross up of the Realbase revenue from the sort of accounting recognition work that we've done since the acquisition. Clearly, you know, notwithstanding those two items, ongoing margins are expanding quite strongly. The second question, just following up on that Realbase point. It feels like it was AUD 6.5 million of Realbase, probably on a gross revenue basis in for two months in FY 2022. Yeah. That feels like we're annualizing around 40 today. I'm just going, like my channel checks are suggesting you guys are already putting up prices on Realbase already, and you're winning major new agent customers on Realbase as well. I'm just thinking, could that Realbase 40 grow into FY 2023? Hey, what's been quite interesting is Realbase has not changed pricing or CampaignTrack for a number of years. That was one of the really interesting aspects of when we acquired that business looking at that. You know, it's the market dynamics. There has been no price increase through that process. The take-up rates have been strong. The retention rates even post-acquisition have been incredibly strong. We're really pleased with that business. It has three component parts. The marketing platform is by far the biggest and traditional business there. That is the business that supports, you know, over 40% of listing transactions in the country with effectively your marketing checkout cart of all the marketing activities that happen on those individual listings. Higher growth products of AIM, which is social media product and Engage. It's the AIM social media product that is the sort of bigger impact on sort of gross up because, you know, according to accounting standards, we sort of recognize the revenue we receive. It grows, but we have to acquire a portion of the inventory across social media platforms that go across through that. We're happy with the growth. It will drive, you know, strong growth in our agent solutions business in next year as we recognize a full year of revenue. Going forward on that, we will sort of continue to integrate that product across our agent solution stack and deliver, you know, higher value-added services to agents going forward. Just a last one, if I could. Thanks, Jason. That's helpful. Just back on guidance. For all avoidance of doubt, I mean, you guys have to be guiding to positive jaws on a reported basis, right? Otherwise, you can't get expansion in reported margins. Yeah. Your OpEx is going 18%-21%. Reported revenues have to go up by more than that, which in turn suggests you guys probably aren't baking in much of a big listings decline in 2023. Is all of that logic correct? Look, I think our view on listings decline is pretty consistent with the market. It's probably, you know, it is declining low to mid single digits through there. I think we are quite confident about we'll be able to deliver positive, you know, double digit, low double digit, yield growth against that. That positivity comes through on a couple of things. Firstly, the strength of the Q4 take-up and depth, which has been strong. It's the strongest we've seen for a long time. 70% increase in new and renewed contracts upgrades in that quarter versus what we saw in that level of activity last year. That will flow through into FY 2023. Sort of even in a market that is, you know, prices are starting to decline and the balancing of the supply and demand, the buyer vendor interaction is sort of adjusting, the need for marketing actually increases through that as that dynamic starts to flatten out. Eric, sorry, just the other piece of color may be around the outlook statement on cost. We guided to low double digits, excluding that incremental cost coming in from the acquisitions. I'd sort of steer you towards the lower end of that low double-digit range. That's certainly what we're targeting. That will hopefully be helpful in terms of working those numbers through. You won't bite, Rob. There's probably a bunch of us running around and doing the math and suggesting an EBITDA outcome in the AUD 150-AUD 155 zone. I mean, ballpark or kind of. I think you can do the numbers, Eric. Nice one. Thanks, guys. Thank you. Your next question comes from Kane Hannan with Goldman Sachs. Please go ahead. Hey, guys. Three from me as well. Just the IDS comments and the potential contract wins. Do you have anything in the cost base in 2023, you know, assuming that you might be successful in any of those? Yes. You're even seeing that sort of come through in significant items in terms of an upgrade in the probability and possibility of paying a portion of the earn-out through there. I think that's a positive signal. The Western Australia contract that's came through is getting to its final conclusion and we expected that, you know, it's a strong product, it's a leading product, and we expect that to be finalized and contracted, you know, shortly or definitely within FY 2023. What surprised us is the speed at which New South Wales has issued and started an RFI process for the sort of essentially the rebuild of the entire sort of valuations, land valuations platform across the state. We expected that to be coming, that product and that platform is, you know, in parliamentary discussions, and in hindsight, you can see that there is clear understanding that that is not fit for purpose. Our expectation was that it would probably be something that the governments would start to look at in FY 2024/2025. They've actually initiated that RFI and are looking for sort of an outcome over the next six-nine months. Perfect. Then that Q4 contract growth of 70% or sort of recontracting that you were talking about. I'm just trying to think how we translate that into our models. I mean, was Q4 weak last year from a sales perspective? I suppose how many contracts do you normally sell sort of in the fourth quarter? We do for us, this is a market-based, you do have an uptick in the number of that are sold because it predates your going through a sort of a price increase and recontracting cycle that works through. It's a natural sort of cycle. Last year wasn't particularly weak. In fact, it actually happened. That process happened, if you recall last year, we moved our price increase to July for the first time. Normally, we do it in January. It happened during a particularly strong Sydney and Melbourne market just predating the lockdown that happened just as we moved into Q1 of the following financial year. There's nothing in the comparable. What we really have there is, you know, a price increase that nets somewhere between 7%-8%, and the agents are seeing real value in the way we've done that. We've been very focused on our micro-market basis. That's a net 7%-8% across the country. We have been very, very focused on a local zone level as to what's the most appropriate lever to pull. In some parts of the country, the price increases are significantly more than that 7%-8%. In some parts, they're lower. Where they are lower, we're looking to drive depth uptake materially. What I would take from that is that process has been very successful. Even talking to clients who, you know, who are looking at the market as we are, with some softness coming in, and particularly around pricing, some questions around mortgage interest rates, for example, going to the back end of this calendar year, have really stepped forward and seen value in the products that we're offering and stepping that up. The reality is we delivered in FY 2022, sorry, double-digit growth in our core listing residential online business ahead of market. We're looking good to continue that trend as we head into FY 2023, and we think that will provide us with strong momentum. I think the other point to add there, Kane, is just that, you know, quite a substantial number of those contracts won't take effect or didn't take effect till the first of July. You know, we've got a good tailwind coming into FY 2023. Perfect. Rob, in that chart on depth penetration in the back, you know, for FY 2022, is that average across the year, or is that a closing number? You know, I just can't see it and it's added on the slide. It's the average across the year. Yeah. Okay, perfect. Sorry, just one last one. Just, you said promotion spend down 4%. I think the second half decline is accelerated. I mean, do you think that returns to growth in FY 2023 as part of that broader step up in OpEx? Or, you know, are we gonna continue to optimize that, promotional spend? Yeah, no, that's definitely the intention. I think it talks to that sort of confidence around investing that I touched on earlier. You know, we certainly see. You know, we've got a very effective and efficient marketing engine. We feel it's appropriate to put the foot down a little bit harder. Perfect. Thanks, guys. That's it. Thank you. Your next question comes from Tom Beadle with UBS. Please go ahead. Oh, hi, guys. Thanks for the opportunity to ask questions. I've just got a couple. Just firstly on the guidance. Just, you know, given you're anticipating your margin to remain stable on an ongoing cost basis in FY 2023, you're effectively also obviously giving revenue guidance of a similar magnitude there. So can you just talk about the assumptions that you're making to get there, please, firstly? Thanks. I think it breaks down as following. Like, in terms of listing volume growth, we do expect a decline in the low to mid-single digits. That's our assumption. Just to put a piece of perspective, though, that gets you to sort of an average listing volume over the year of, which is normal. It's coming off a really strong listing volume, so it's not, by any stretch of the imagination, a sort of poor year. It's just really, we feel, a resetting to the normal cycles and sort of volumes after three years of extraordinary volatility. That's where we're sort of settling through there. We are expecting yield growth in low double digits to continue based on the basis of the 7%-8% price increase that we've loaded into the system and contracted out and is now live and fixed for that next 12 months. As well as depth uptake contracts and increasingly acceleration of add-on products like Social Boost, for example, that are extending our ability to deliver value beyond just the listings portal, off portal, pre-market products like Early Access and post-market activity. That will overall sort of deliver our expectations of, you know, incremental yield. We're also expecting strong organic growth in Domain Home Loans, in our property data solutions business, in our agent solutions business across that as we've seen really strong take-up rates in a lot of those cloud products. Pricefinder, for example, the highest net additions that we've seen in seven years. If you go back seven years, that product was in a much higher sort of acceleration phase in terms of product adoption. It's a mature product now. To go back to those growth rates is fantastic. It's testament to the investment that we've made in our, particularly in our single view of the property, and increasing the value and accuracy, quality of our property database, and we're starting to see the benefits of that. The final element is the acquisitions. bringing on, you know, the revenue and the associated cost base for a full year of Realbase and IDS. Great. Thanks. Just, I guess a second question, just into the cost guidance itself, just more around those targeted investments. Can you just talk about the types of investments that you're making there? Also, do they sort of fit in your core digital business or consumer solutions? Yeah, it's a very interesting question. Again, we pulled this out very specifically in our trading update to talk about our underlying cost growth of our business is in the high single digits%. We see that as a mixture of, you know, some decisions to invest in things like promotion and marketing. We actually are seeing some tempering of wage inflation, and that's our expectation going forward. Not sort of a material change, but, you know, moving from probably high single-digit% increase in FY 2022 in an environment where talent and was incredibly difficult to acquire, and inflation was high. We're actually seeing that temper as, you know, the demand for particularly technology resources has stabilized. You're seeing that, you know, the speed of hiring of a lot of the large technology companies has slowed down materially, and you're seeing sort of the rate of growth of technology hiring, particularly in startups and venture-backed businesses, dramatically slow down. That's sort of helping as we go forward. That base cost base of, you know, going forward, we think it's a mix of some incremental investments and some sort of tempering in there of high single digits. On top of that, you know, we think moving that, you know, small low single digits into the double-digit total cost are specific targeted investments in a small number. We're talking, you know, four specific, you know, technology platform investments. I won't go into detail of exactly what they are because that's commercial in confidence. What I would say is they are not in the core business, they're not in the adjacency market business. They're about making it all work together. It's things like making sure that our customers have a seamless experience as they navigate all of the solutions that we actually offer, whether that's in our listings business, whether that's in our mortgage business, whether that's agents who want to engage with us through our cloud-based systems or want access to data and property insights or mortgage lead flow and generation. Really they are targeted infrastructure investments that we believe that will power the future acceleration of growth of our marketplace. We took a small bet on property data in FY 2022 to test and experiment through that. We invested you know a material amount in one single sort of project to bring all of our property data assets together to create what we call a property graph. We're able to now sort of ingest a range of proprietary and market available signals into a database and immediately sort of update you know the property insights, property information that we have. That data is available across our marketplace. Our consumers who come to our portal, who are looking for valuations, who are looking for you know individual properties, having a much better experience right now in finding those properties and understanding values. Our agents, through Pricefinder, are seeing much better you know accuracy of their valuations and the work that they're doing. Government contracts and valuations into banks, for example, are having a better experience. That single investment in a sort of an infrastructure piece is actually seeing benefits across our entire marketplace. Those investments we're sort of doubling down. Now is the time to do that because of the confidence we're seeing in the take-up of our marketplace. We believe that, you know, now is the time to actually support the, you know, our aspirations for accelerating growth in future years. Great. Thanks a lot. Thank you. Your next question comes from Entcho Raykovski with Credit Suisse. Please go ahead. Hi, Jason. Hi, Rob. Hi, Entcho. Hi. Hi. Just when you were talking about those building blocks, Jason, around revenue growth into FY 2023, you didn't really mention market mix. How do you see market mix impacting revenues? I mean, I'm just conscious that despite lockdown, Sydney had a strong FY 2022. Do you think that might be a bit of a headwind? Are you just thinking about basically bundling it into the listing volume number? Yeah, market mix is notoriously difficult to predict. You can do all levels of analysis and detailed analysis, spend months on this and really be completely wrong. The reality is property listings will come to market when and where the vendors actually decide to bring their listings to market. Overall, it's not something we spend a lot of time on, and our focus is making sure that we actually are driving controllable yield growth at whatever listings come to market. We can actually sort of then understand, okay, what do we control and what do we not control? I think on a growth basis, you know, FY 2022 was mixed. You know, right now we have a pretty strong positive market mix driver in July and the beginning of August because of the lockdowns that happened last year. As we cycle into the second half of that year, the comps are gonna get materially harder, as you point out. You know, I think it is quite a mixed bag. Again, it's really difficult to predict 'cause the volatility could even be within micro market zones. You know, how are the listing volumes moving in suburbs like the eastern suburbs of Sydney or, you know, the Toorak, Boroondara, Stonnington area of Melbourne versus, you know, the next suburbs along can have an impact on mix, and it's just too hard to predict. Okay. I guess what I'm getting to, it sounds like there's nothing that makes you particularly nervous heading into FY 2023 relative to any other year. There's a lot of things that make me particularly nervous about everything, Entcho, but that's not probably one of them. Fair enough. If I can ask another one on Realbase. Are you able to give us the numbers of what the Realbase revenue and EBITDA was for the entire FY 2022, particularly given that you're now looking at revenues and costs on a gross basis, and perhaps how that compares to the AUD 22 million in revenue and AUD 9 million EBITDA that you spoke to as part of the acquisition? Yeah. The gross up for FY 2023, Entcho, is between AUD 10 million and AUD 11 million. You can assume for 2022 it would have been slightly less than that, sort of high single digit millions on top of the 2022 that we spoke about when we did the acquisition. Okay. The actual delivered numbers were generally probably in line with what you expected? Yeah. Very early days, Entcho, and it was only a couple of months, but yeah, nothing meaningful there. Okay, great. The final one on LeadScope. You've obviously called it out, close to a four-time increase in LeadScope users. I guess, can you talk to what sort of revenue LeadScope could deliver post full commercial launch? It obviously contributes to ad revenues to some extent, but do you have any plans you can share at this stage? I think it's actually contributed sort of notable growth in depth revenue. You know, you've seen that in Q4 as we've gone through and over the last 12 months. We'll have a better view on that, I think, as we get to launch. We're still in, you know, the phase of negotiation, particularly around some enterprise contracts and then some individual pricing and setting. As we get to the sort of back end of this calendar year, I think we'll have a better idea of what that is. What I would say is, when we survey agents, as we do, as to what's needed and what's necessary. The interesting piece is, they definitely clearly need marketing services, and they see Domain's value in delivering that. The desire for listing leads is two-three times the demand for marketing services in all of the surveys we run. There is clearly a demand for those services. It does get down to the commercialization model and being very, very careful about providing a service that actually adds value and adds to the sustainability and resilience of their business, rather than providing a service that competes directly with the agents and sort of undercuts their ability to sort of grow their business. The other piece that's actually critically important is just making sure that we're working effectively to focus on customer privacy. We need our ability to work with our user base, all of our customers, our users across that, and our agents to make sure that they feel comfortable that there is a transparent sort of understanding of the value that both sides are getting through that, people aren't both on agents and on the vendor side aren't surprised by anything along those lines. I think as we get through to the end back end of this calendar year, we'll have a better idea of those sort of numbers. The demand and the required demand is clearly there. Okay, great. Thank you. Thank you. Your next question comes from Fraser McLeish with MST Marquee. Please go ahead. Hi, Jason, Rob. Just two from me, thanks. Just REA looks like it's having some good success with Premier+. Just wondering if there's an opportunity for you to launch a similar kind of package. Second, just on some of the technology investment, are we seeing that all in the costs or is there also a like a CapEx element? I don't know if you gave CapEx, if you said what you expect CapEx to be for 2023, that would be helpful, Rob. Thanks. On the package, I think we've had many conversations over the last couple of years with a lot of you around headroom, around price and product and where does depth cap out and everything else. You know, I've said for many years that you really have to not think about the products we sell. We're a digital business. We have breadth and scope to actually increase the scale, the impact we can have. We don't have like a fixed shelf that we're trying to actually use and utilize for a set number of products. I think Premier+ is a great example of, you know, extending the value proposition beyond any sort of expectations of where a ceiling is. We have absolute ability to do that, and we're doing that. Products like Early Access, products like Social Boost, products like AIM. AIM, which came through the Realbase acquisition, is a really interesting product. It actually, you know, it's a social extension, you know, just like we offer with Social Boost and is offered by our competitor. The difference between AIM is it drives traffic to the agent's website and helps them build their own brand. It's a clearly differentiated, you know, proposition, and that gives us the ability to extend our reach, our ability to sort of deliver those solutions, extend our sort of share of wallet of total marketing spend. It also supports our fundamental strategy and our belief in openness and open ecosystem that yes, we are finding vendors and potential buyers for our agents through our platforms, and we invest heavily in that, and we will continue to invest heavily in that. We're also helping them build their own businesses. We're not standing in front of them and sort of making sure that, you know, that all the traffic is captured, for example, within our closed wall ecosystem. We're actually helping them build their own brand and doing that effectively. I think if we do that, there will be value, just like, you know, at the moment that agents are stepping forward with our sort of core products and seeing value and stepping up to historical levels. We think with that approach will actually create value mutually between us and our agents overall, and we see great ability to continue to do that. Hi, Fraser. On the second question, yes, there will be a CapEx element to those investments. It's largely a sort of prioritization of existing resources towards some of those. Overall, not a significant impact on the overall CapEx number. We will see a little bit of growth in headcount across the year, but not significant. In terms of the OpEx costs that we've sort of signaled through those investments, it's things like consulting, software, and sort of labor costs that aren't able to be capitalized. Yeah, the SaaS accounting standard sort of probably puts more into the OpEx base than would traditionally have been the case with projects like this in, you know, in years gone past. Yeah. Great. Thank you. Thank you. Your next question comes from Siraj Ahmed with Citi. Please go ahead. Hi. Thanks. Just two questions from me. Just first one, clarifying just on the yield growth that you're talking to, for FY 2023 of low double digits, that is controllable yield? I understand the market mix color, but there's also ACT which should be helping. So just keen on that. Second thing, in terms of the cost growth guidance, I think previously if the listings environment is worse in calendar 2023, just keen to understand how you're thinking about the cost base and whether you would flex the cost base or do you just invest ahead given the opportunity. Thanks. Looking at our sort of controllable yield, we've been pretty consistent over the course of the last couple of years. We think that through the cycle, target and controllable yield is sort of 12%, give or take, low double digits. We think, you know, we've got a, you know, a good shot and good probability of delivering that in FY 2023 in that low double digit range and through the cycle, that 12% sort of holds. I think, you know, in, you know, as we move out of sort of what is probably a tempering cycle in the property market, we'll move back into positives and you'll see controllable yield move above that 12%, over time. that's definitely been the pattern over the last couple of years, and we see that going forward. What's included in that doesn't include market mix or volume. It's purely price, depth uptake and sort of add-ons in terms of where we, you know, all the things that are within our control in terms of driving more revenue against each listing that's available each year than the year before. Hi, Siraj. Just on the cost levers. I mean, you know, we've got a pretty strong track record, I think particularly over the last two or three years of really flexing the cost base, if we need to for market conditions. Nothing's changed there. You know, we've certainly got our hands on the wheel and, you know, making very deliberate decisions and that will reflect, you know, the environment that we find ourselves in. Yeah. I just wanna reinforce that. Like, we've built a quite, I think, a strong reputation through an extraordinary volatile period over the last couple of years of being very dynamic with our cost base and, but also being mindful of the strategic opportunity that lies in front of us and the value that we can create for shareholders. You know, over 80% of Domain staff, through what we've done over the last couple of years, are shareholders. So we sit here, and we are looking for ways to actually increase, and we're part of the outcomes through that. I would say, you know, things like technology projects, things like our core cost base. The biggest lever that we have that's not available to many organizations is the sort of decisions on time and timing. When labor is a big part of your cost base, things like sort of consulting and support, elements like that, you can flex the cost base quite quickly and quite effectively by changing your assumptions on timing for initiating, for continuing, for accelerating any of these projects. Things like hiring rates, for example, are, for a technology business, your sort of first go-to in terms of anything you want to do with managing the cost base. You're seeing that play out right now. Right now with, you know, in the technology space, whether it's larger technology companies or venture capital community, when people are talking about sort of cash preservation or any uncertainty in the future, the first discussion that comes up is the rate of acceleration or deceleration of hiring. Look, we understand that dynamic well. We've got a leadership team who is seasoned in working in digital businesses and marketplace businesses who've seen this, and we've been effective in actually doing that. We'll be meaningful, though. We will absolutely decide on what's the best strategic outcome and value creation outcome. We won't be held to, you know, to delivering an individual metric within an individual year that we think could actually damage the future prospects of this business, the outcomes for our employees, the outcomes for our customers. We'll be very disciplined about doing that. Our core goal is to accelerate the delivery and our ability to actually meet the aspirations and our targets going forward. We think there's an extraordinary opportunity here, and we're focused on delivering that. Thanks. Thank you. Your next question comes from Paul Mason with E&P. Please go ahead. Hey, guys. Just one for me, 'cause a few might have been answered. Just on the slide 28 and the property graphs that you guys have built out. I'm just wondering, you know, is there sort of a roadmap around building out a similar thing for consumers and for potential vendors as well? Or is this sort of like the extent to which you wanna use your data to build these sort of deeper views on property transactions? Yeah. Look, I think where we sit uniquely positioned as Domain is the intersection of having sort of unrivaled information on individual property. Not just the properties, but the land that sits below it, the developments that sit on top of it, the owners at any point in sort of time, the transactions, the listings history. One of the richest sources of data that we actually have that is sort of really difficult to obtain is, you know, photos that actually sit there. In an increasing world of artificial intelligence, machine learning, access to those photos to do analytics and, you know, rich text assessment, everything else is extraordinarily high. We also sit on extraordinary consumer data, both through us and the 8.5 million people that sort of hit our platforms each month, and extending up into Nine, which has one of the largest logged in identified, you know, databases of users in the country. When you put those two things together, the sort of intersection of individual demographics, intent, you know, identity, all these sort of elements mixed with property, which is not only, you know, the single most important asset in most Australians', you know, wealth and future, it's also a big driver of total wallet spend at a household level. You put those two sort of pieces of identity together, and you invest in the infrastructure that allows a seamless sort of linking of all of that data, you know, true privacy and transparency and control over the use of that data. You really start building the infrastructure for the future of a marketplace. What we're talking about is moving this from talking about this marketplace and this sort of, you know, sitting on a slide to delivering that true seamless experience for all of our customers across our marketplace. That's what we're focused on. All right. Thank you. Thank you. Your next question comes from Darren Leung with Macquarie. Please go ahead. Morning, guys. Hi, Darren. Thanks for the opportunity. I might just make them quick. Just the first one in relation to the price increase, and also how you're thinking about depth penetration. I know it's been asked a few times, but maybe to cut it another way, what was the depth penetration growth at towards the end of the second half or fiscal year 2022 versus the average in second half 2022? Just because it looks like the depth penetration has gone backwards. The depth penetration certainly hasn't gone backwards. I mean, we were comping very tough comps in Q4, and we knew that was gonna be the case, but we were still in growth territory for depth. Yeah, absolutely. I think if you look at the slide, we talk about 19% controllable yield in the first half, 11% in the second half. You know, price increase is pretty consistent across both of those halves. There has been a tempering of depth growth in the second half, but that's primarily driven by the comparable periods. You know, the first half was against, you know, COVID lockdowns. The second half was against very strong growth rates in the comparable period prior to that. We expect that. In a very tough base of comparison in the second half of FY 2022, we still saw, you know, depth growth, which was incredibly high, particularly in that Q4 period, and that Q4 period momentum will continue through to FY 2023. You know, No, I'm not sure. You might wanna have a look at those. As depth clearly was not negative. Okay. Understand. Maybe you want to take offline, but perhaps the other one just on a high level around the cost base piece, so the AUD 27 million. We're landing at about AUD 13 million Realbase and AUD 5 million for IDS. Is there anything that's missing there in terms of the bridge towards AUD 27 million? Just say those numbers again, Darren. 13 for Realbase and five for IDS. I suspect part of it is in the net. Yeah, we might have. Let's take that one offline. 27. You have to reconcile to the 27, right? That's the total. One of those is off. The 27 was incremental year-on-year. Yeah From basically a full year of acquisition. Okay. Understand. Okay. Thanks, guys. Thank you. Your next question comes from Roger Samuel with Jefferies. Please go ahead. Well, hi, morning, guys. I've got a question about your longer term margins. You committed to expand the margin longer term. I'm just wondering how you reconcile that with your strategy, which is to grow the proportion of the marketplace businesses. On slide 35, I think you sort of have this pie chart showing that the marketplace businesses will represent about, you know, roughly 1/3 of your revenue. I imagine that the margin for core listings is a lot higher than agent solutions or property data solutions. I think the mixture of the business, a couple of things that sort of work through. You're still having, you know, 2/3 of the business in that future sort of still driven by core listings, going through property data. Any data business is actually incredibly strong margins. Traditionally, if you look back through those things, you know, it's a provision of data services that are highly scalable that works through. I think margins on cloud-based SaaS businesses, you know, probably slightly lower than marketplace businesses and growth, but still attractive. You know, at scale. Mm-hmm You know, they start to look at sort of around the 40% and in scale up there in sort of 20%. Then from a loans business and a mortgage business, the ability to scale the total TAM is appropriate. We're looking at models where we are being very mindful of the profitability of those models rather than just sort of chasing old distribution models, and that's a core focus. What I would say is, you know, we are mindful of that, but when you look at marketplace businesses, digital marketplace businesses around the world, the single biggest driver to margin expansion is revenue scale. It's the revenue scale that drives the actual margin expansion, and that is universal across every single marketplace. It's also the piece that makes marketplaces so difficult and so resilient and so difficult to compete against and sort of, you know, come through. That scale is not only the ability, drives the ability to scale these margins over time, it also provides a competitive moat to the sustainability and ongoing performance and sustainability of the business. You know, we are mindful. We won't sort of be held to focusing on sort of ignoring solutions that provide real value into our marketplace purely because on an individual basis, the margin might dilute our core or traditional business. I think that is, you know, that's called innovative dilemma. That's, you know, being captive by, you know, a product that's difficult to replicate and sort of stops you from growing your business overall and growing the impact across the marketplace that you want to actually resolve. We're confident that scale is going to be the biggest supporter of expanding that margin over time, and it's why we're making these investments in a small number of meaningful technology platforms to actually support that accelerating growth going forward. Okay. Yep. Second question, just to follow up on that. Consumer solutions, when can we expect that to be profitable? We've seen a material reduction in the sort of EBITDA loss on that basis as that business scale. You're starting to see like the scalability and the impact as we go through to do that. Again, the top line, it still is. It's a really wonderful business. We just need to scale it faster. As it scales faster, it'll naturally sort of tip into profitability. On a unit economic basis, it's highly profitable. It's materially more profitable than any other sort of mortgage and particularly broker channel in the market. We're confident in that. We won't hamper the top line revenue reduction because we're sort of pushing to drive profitability. We could do that right now. We could actually deliver a profitable service by constraining the growth of that business, but we have to invest in the brokers that sit behind that provide the experience that our customers deserve and are getting that actually then reinforces top line growth. Okay, great. Thank you. Thank you. There are no further questions at this time. I'll now hand back to Mr. Pellegrino for closing remarks. Once again, thank you for taking the time to spend with us this morning. We're really proud of the results we put in over the last 12 months. We've been saying for many years now through volatile periods that we're setting up Domain to benefit from the inevitable bounce back in the listings, and that actually came to bear in FY 2022. We've seen great growth in our core listings business and an accelerating growth in our adjacent marketplace solutions businesses. With that, I'll leave you and look forward to talking to you over the next couple of weeks and our next earnings results. Thank you. That does conclude our conference for today. Thank you for participating. You may now disconnect.